Although JobKeeper has been in place for many months and is now scaling back, all eligible participants may not have enrolled. The program is targeted to workers in the broad sense.

An “eligible business participant” is an individual who’s not an employee of the business but is actively engaged (i.e. a worker).
The eligible business participant must be an individual, who could be:-
They must be actively engaged in the business, – although recently this does not include providers of childcare.
Even if the business has several people who meet the criteria (e.g. two or three partners or directors), only one can be nominated as the participant.
Whilst there are now continuing reporting obligations, which means you may not always be a “worker”- even a few fortnights JobKeeper receipts can be significant – check your enrolment basis regularly.
AcctWeb
The Commissioner of Taxation has now released the updated alternative decline in turnover tests for the JobKeeper extension.

The Coronavirus Economic Response Package (Payments and Benefits) Alternative Decline in Turnover Test Rules (No. 2) 2020 legislative instrument has now been registered by the commissioner, setting out the revised alternative tests for JobKeeper fortnights from 28 September onwards.
The new alternative tests remain broadly in line with the original, with the same seven circumstances available to entities where there is not an appropriate relevant comparison period in 2019.
These include businesses that started after the comparison period, businesses that acquired or disposed part of the business, and where a business restructure changed the entity’s turnover.
The alternative tests also account for businesses that had a substantial increase in turnover, were affected by drought or natural disaster, have an irregular turnover, and had sole traders or small partnerships that experienced sickness, injury or leave during the comparable period.
A key difference in the updated alternative tests is that current GST turnover is now used in place of projected GST turnover, in line with the basic decline in turnover test for the JobKeeper extension from 28 September.
Knowledge Shop tax director Michael Carruthers told Accountants Daily the new legislative instrument also confirms that the commissioner’s rules in determining the timing of supplies for the JobKeeper decline in turnover tests apply to these new alternative tests.
“This should mean that if an entity is registered for GST, it needs to calculate current GST turnover using the same accounting method that is used for GST reporting purposes (i.e. cash or accruals). Entities that are not registered for GST can choose which method but must use a consistent approach,” Mr Carruthers said.
Changes to the ‘substantial increase in turnover test’
Entities that experienced a substantial increase in their current GST turnover will now be able to choose between using the period immediately before the turnover test period or before 1 March 2020.
“Under the original version of the rules, you had to start by checking if there was an increase in turnover of at least 50 per cent, 25 per cent or 12.5 per cent in the 12, six or three months before the test period,” Mr Carruthers explained.
“While this is still possible under the updated version of this test, an entity can also access the test if there was an increase in turnover of at least 50 per cent, 25 per cent or 12.5 per in the 12, six or three months before 1 March 2020.”
Changes to the ‘irregular turnover test’
A similar change has been made for businesses looking to access the irregular turnover test, with a choice of now using the period immediately before the applicable turnover test period or before 1 March 2020.
“Under the original version of the rules, you started by looking at whether the entity’s lowest turnover quarter was no more than 50 per cent of the highest turnover quarter for the quarters ending in the 12 months immediately before the applicable turnover test period,” Mr Carruthers said.
“However, under the updated version, you look at whether the entity’s current GST turnover for any consecutive three-month period before the applicable test period or 1 March 2020 is no more than 50 per cent of the highest of the entity’s current GST turnover for any other of those three-month periods.”
Changes to multiple disposals, acquisitions and restructures
The new alternative test removes the requirement for entities with multiple acquisitions, disposals and restructures to use the period after the last of the sequential transactions.
Where an entity has had multiple acquisitions, disposals or a sequence of restructure transactions at or after the start of the relevant comparison period but before the applicable turnover test period, the entity may apply these tests to each acquisition, disposal or restructure separately.
Sole trader or small partnership with sickness, injury or leave
The new alternative test for sole traders or partnerships affected by the sole trader or a partner not working for all or part of that period due to sickness, injury or leave has also been updated.
The revised test now uses the current GST turnover for the month immediately before the month in which the sole trader or partner did not work, rather than the turnover for the month immediately after the month in which they returned to work.
ATO web guidance is expected to be published shortly.
View the new alternative tests legislative instrument here.
View the accompanying explanatory statement here.
Jotham Lian
23 September 2020
accountantsdaily.com.au
The first instalment of 2021 income tax, due for quarterly taxpayers on 28th October may be varied down.

If your business or investment income has been affected by covid-19 (or any other factors) and has reduced, the instalment can be varied.
You must make a variation on or before the payment due date. An estimate of tax payable for the year, based on the current circumstances, will result in a reduced instalment.
You can vary instalment amounts multiple times throughout the year, reflecting current income and legislation announcements (e.g. new depreciation write offs, new incentives).
The varied amount will apply for the remaining instalments for the year, or until another variation is made.
Importantly, it should be done before the payment due date – and payment made of the recalculated amount.
An estimate of next years tax payable during this pandemic can be extra-ordinarily difficult, but the Australian Taxation Office have advised that no penalties will be imposed if a best attempt is made, although general interest charges may apply to outstanding PAYG.
AcctWeb
A warning to taxpayers who may be considering cancelling private health insurance because of higher premiums starting for many on 1st October 2020.

You could become liable for a surcharge in its place – and have no benefits.
A single taxpayer will be liable for MLS for the number of days you do not have an appropriate level of private patient hospital cover (unless exempt), if your adjusted income was more than $90,000. Taxpayer with spouse or dependent children threshold is joint $180,000.
A couple includes taxpayers living together on a genuine domestic basis.
Income is a complicated calculation with reportable fringe benefits, first home saver super, net financial investment losses, net rental property losses, reportable employer superannuation contributions, deductible personal superannuation contributions, some trust distributions and some superannuation lump sums, included in the calculation.
Private patient hospital cover is provided by registered health insurers for hospital treatment in an Australian hospital or day hospital. Singles must have an excess of $750 or less.
Extras cover (e.g. optical, dental) is not private patient hospital cover.
The single levy is:-
$90,000 + 1%
$105,000 + 1.25%
$1,40,000 + 1.5%
Family income is double these thresholds,
If you have two or more dependent children, the family income is increased by $1,500 for each dependent child after the first child.
Hence, cancelling private health insurance will save the insurance outlay, (with no insurance fund benefits ) but it may increase the tax payable. Do your sums.
And then consider whether your health is something you should insure – even in preference to some other insurance.
AcctWeb
With the ending of a number of the original COVID-19 relief and stimulus initiatives, August and the beginning of September has seen the release of new plans to move into the post-September period. Links to these updates and changes are listed below.

Please click on the following links to access a wide range of Covid-19 related updates, initiatives, guidelines and resources from both Federal and State Governments.
Latest Updates:
Previous Updates:
Jobkeeper Update – Extension to March 2021. Read more ….
Victorian Government Stage 4 Restrictions. Read more ….
Victoria – Health and Human Services – Stage 4 restrictions. Read more ….
Victoria – State Revenue Office – Land Tax. Read more ….
Federal Government COVID-19 Updates. Read more ….
NSW – New round of small business grants. Read more ….
Qld – Round 2 of Small Business COVID-19 Adaption Grant Program opens. Read more ….
Vic – Range of videos explaining topics effected by COVID-19 such as Land tax and Payroll Tax. Read more ….
Tas – An update on all COVID-19 matters in Tasmania. Read more ….
ACT – Updated 30-6-2020. Read more ….
SA – Updates for Land tax deferrals and Job Accelerator Grants. Read more ….
NT – COVID-19 Update. Read more ….
Myths about COVID-19 are all over social media. Here is the our Government's mythbusting response. Read more ….
$131.4 million Federal funding to help Public Hospital fight effects of COVID-19. Read more ….
$48.1 million for mental health & wellbeing pandemic response plan. Read more ….
State and Territory Government websites. Their latest responses to the coronavirus pandemic.
3 Step Framework for a Covidsafe Australia. Click here.
Easing of coronavirus (Covid-19) restrictions. Read more …
The Tax Office has published preliminary guidance on the extension of JobKeeper as the profession continues to wait on the amended rules to be registered.

Following the passage of legislation extending JobKeeper for a further six months to 28 March 2021 this week, the ATO has now published guidance on the changes.
The updated guidance comes despite amendments to the JobKeeper Rules, which will set out the new two-tiered payment rates, yet to be issued by the Treasurer.
Amended rules notwithstanding, the ATO has now detailed the payment rates for the two extension periods, the first running from 28 September 2020 to 3 January 2021, and the second running from 4 January 2021 to 28 March 2021.
For the first extension period, employees who worked for 80 hours or more in the four weeks of pay periods before either 1 March 2020 or 1 July 2020 will receive $1,200 per fortnight, while all other employees will receive $750.
For the second period, the rate will drop to $1,000 per fortnight and $650 per fortnight, respectively.
The ATO noted that businesses currently enrolled in JobKeeper will not need to re-enrol for JobKeeper 2.0, nor will they need to provide an employee nomination notice again.
However, businesses will need to satisfy the decline in turnover test for the September quarter, and subsequently the December quarter, with the ATO stating that it will soon provide further information on how to undertake the calculation.
“For many businesses registered for GST, this calculation will match the ‘total sales’ reported at G1 on your BAS minus GST payable (1A), where applicable,” the ATO said.
“You can provide additional turnover information to demonstrate that you satisfy the actual fall in turnover test for the September quarter from the start of October onwards. You must provide it before you complete your November monthly declaration.”
View the updated ATO guidance here.
View the Treasury JobKeeper Fact Sheets here.
Jotham Lian
04 September 2020
accountantsdaily.com.au
One of the conditions of deductibility of travel expenses, is that the expense is not a private or domestic nature.

Accountants will soon be tasked with providing certificates to businesses being weaned off JobKeeper to enable them to cut employee hours or change their duties under temporary Fair Work changes.

Under new legislation introduced on Wednesday, businesses that qualified for the first round of JobKeeper, but are unable to qualify for JobKeeper 2.0 because they no longer satisfy the 30 per cent decline in turnover test, will still be able to access temporary Fair Work Act provisions for a further six months if they are experiencing a 10 per cent decline in turnover.
These temporary Fair Work Act provisions include being able to reduce employees’ ordinary hours by 40 per cent of the hours they worked before the pandemic struck, and give them directions in relation to duties and location of work.
In order for such businesses to qualify, they will be required to obtain a 10 per cent decline in turnover certificate from a registered company auditor; a registered tax agent, BAS agent or tax (financial) adviser; or a qualified accountant.
These accountants must be independent and external to the employer, and cannot be a director, employee or associated entity.
However, there will be a carve-out for small businesses with fewer than 15 employees to allow such employers to provide a statutory declaration to attest to the 10 per cent decline.
The 10 per cent decline in turnover test periods will align with BAS lodgement dates for each completed quarter.
False or misleading information provided to accountants in order to satisfy the 10 per cent decline in turnover test will face a maximum civil penalty of 60 penalty units for inpiduals or 300 penalty units for a corporate entity.
Chartered Accountants Australia and New Zealand assurance and reporting leader Amir Ghandar said the practical aspects on providing the 10 per cent decline in turnover test certificate have yet to be worked through with government officials, with engagement only just commencing.
“We will seek to work with the government to make sure the requirements are clear and accord with applicable professional standards,” Mr Ghandar said.
“CAs should be aware of the professional practice and insurance implications in undertaking assurance engagements.
“Employees and the organisations that represent them will rightly take a keen interest in the accountants’ work, and the Federal Court can examine whether an employer has indeed satisfied the 10 per cent test.”
Jotham Lian
27 August 2020
accountantsdaily.com.au
The rules around Superannuation contribution change almost every year, so it is important that taxpayers know what these changes mean to them.

The following outlines what has changed.
An increase in the age required for the work test.
From July 1, 2020, the age required rose from 65 to 67. The main benefit of this change is that it provides, where possible, an additional opportunity to implement voluntary super contribution strategies.
What taxable contributions can be made for the year ending June 30, 2021?
There is a cap of $25,000 per person for those able to make extra contributions to their super during the 2020/21 financial year. Any excess over this concessional contribution (CC) cap is taxed at the inpidual’s marginal tax rate.
CCs are contributions where a tax deduction is claimed and include:
The CC cap will, in most cases, exceed employer contributions in 2020/21. If this is the case, then consideration could be given to adding personal taxable contributions to get you up to the $25,000 limit.
The higher your income, the greater the tax savings and keep in mind that there is no upper age limit for being eligible to receive SGCs.
Carry forward provisions
An indivdual can carry forward CCs if their total superannuation balance (TSB) is less than $500,000.
Unused contributions can be carried forward for five years. This option came into effect in 2019/20.
An important consideration prior to June 30, 2021 is to see if you can utilise this carry forward option to bolster your CCs before the date noted.
Work test
If an inpidual is under 67, there is no work test required to be able to make a contribution.
The work test is where, once you turn 67, you must be able to show that you have been gainfully employed for 40 hours or more in any 30-day period in a financial year.
If an inpidual is between the ages of 67 to 74, they must meet the work test in order to make a contribution.
Splitting of contributions
An inpidual can split their CCs that are made on their behalf to a spouse but they need to meet certain requirements.
The main reasons to split contributions are to:
Spouse rebate for super contributions
A spouse rebate, up to a maximum of $540, can be claimed for superannuation contributions for the year ending June 30, 2021.
If your spouse earns less than $37,000 per year and you contribute $3,000 into superannuation for them, you can claim a tax rebate of $540.
Spouse contributions can be made if you are aged under 75 from July 1, 2020.
What tax-free contributions can be made for 2020/21?
Non-concessional contributions (NCC) are those contributions made into a super fund from after tax income. In this case, an inpidual is not claiming a tax deduction. There is a cap for NCCs of $100,000 for the 2020/21 year.
Members under 65 have an option to contribute up to $300,000 over a three-year period, depending on their total superannuation balance (TSB). The rule works as follows:
TSB NCC and bring forward amount
< $1.4M $300,000 over 3 years
> $1.4 & < $1.5M $200,000 over 2 years
> $1.5 & < $1.6M $100,000 over 1 years
> $1.6M $0 (nil)
To be able to make an NCC, a member must meet the work test, as described above.
The increase from age 65 to 67 also impacts on the ceasing work contribution rule as of July 1, 2020 by given more time to make a NCC.
NCCs can be made on a once-off basis in the financial year after you have ceased employment if your TSB is less than $300,000 as of June 30 in the previous financial year. You also need to be under 75.
Downsizing contributions and how this applies to those over 65 years of age.
From July 1, 2018, anyone 65 years or older can make a downsizer contribution of up to $300,000 from the proceeds of selling their residential home.
The contribution is not an NCC and does not count towards the contribution caps, so it goes into superannuation as a tax-free contribution.
If a member has more than $1.6 million in superannuation, they are still allowed to make a downsizer contribution.
If the downsizer contribution is made and is placed into retirement phase, it will count towards a member’s transfer balance cap, which is $1.6 million.
If you are thinking of downsizing then speaking to a financial planner will help clarify eligibility requirements.
Get more from your super
If you have any questions on the above then simply ask us.
PlannerWeb
The COVID-19 pandemic has resulted in many Australian expatriates living and working overseas returning to Australia.

In addition, Australian citizens and permanent residents have been restricted or banned from leaving Australia.
Will those expatriates who have returned temporarily due to the COVID-19 crisis be able to resume working overseas?
Some of these will have ceased to be residents for Australian taxation purposes either when they first left Australia or at some later stage in their life overseas. However, will their (temporary?) return to Australia change that status and result in them being treated as residents for Australian tax purposes? Australian Taxation Office guidance continues to evolve.
Although COVID-19 has create unusual circumstances beyond any taxpayer’s control, the taxpayer must still determine their tax residency status, according to the established law, which has not changed. It remains an analysis of many factors.
Intentions and evidence regarding foreign employer leave arrangements and expectation of returning to work overseas, add an extra layer on the already complex question. Any communications with overseas employers and landlords, etc, may be crucial when a decision on tax residency become necessary. But, staying beyond the “lockdown” period may indicate a change of intention.
What can be more complex is taking temporary work in Australia, whilst a foreign tax resident. Is that evidence of a change in intention?
With so many unknowns, if you intend to return overseas, gathering/generating evidence now may tip the balance in your favour.
AcctWeb